Waste Management, Inc. (NYSE:WM), Ventech Engineers International LLC,
NRG Energy, Inc. (NYSE: NRG) and Velocys plc (LSE:VLS) today announced
the formation of a joint venture to produce renewable fuels and
chemicals from biogas and natural gas using smaller-scale gas-to-liquids
(“GTL”) technology.
The joint venture, comprised of WM Organic Growth, Inc., NRG GTL
Holdings, LLC, VPI LF-GTL, LLC, and Velocys, Inc., brings together the
right parties, the right assets and the right capabilities necessary to
pursue opportunities in the sector.
As part of Waste Management’s commitment to sustainability, the company
continually explores new ways to extract value from the biogas managed
at its landfills. Under this program, Waste Management has pioneered the
use of smaller-scale GTL utilizing landfill gas, including building and
operating a demonstration unit at East Oak landfill in Oklahoma. The
demonstration unit has accumulated more than 10,000 hours of successful
operation.
“From developing gas recovery and cleanup techniques, to registering GTL
diesel as a fuel for on-highway use, Waste Management has been a leader
in this area. We are pleased to take this opportunity forward with a
very strong team. Velocys’ leading smaller-scale GTL technology,
Ventech’s engineering capabilities, and NRG’s clean energy development
expertise will complement Waste Management’s strengths in the joint
venture,” said Joe Vaillancourt, vice president, corporate venturing at
Waste Management.
Ventech, as the engineering contractor to the joint venture, has
optimized the design and engineering of the joint venture’s first
facility. “Ventech brings to the joint venture its deep expertise in the
development of modular construction and specialized fabrication of
refineries, gas processing systems and chemical facilities, and we are
proud to be able to apply our significant and specific expertise to this
effort,” said Kevin Stanley, chief executive officer of Ventech
Engineers International.
NRG brings extensive experience in developing large renewable capital
projects, strong green customer focus and expertise in the acquisition
and transportation of large quantities of natural gas. “With one of the
largest and most diverse generation fleets in America including
extensive natural gas generation capacity and a leading solar portfolio
as well as numerous innovative and green options for large and small
customers, NRG is focused on delivering cleaner and smarter energy
choices,” said John Ragan, executive vice president and regional
president, Gulf Coast, NRG. “We are pleased to be part of this joint
venture that fits squarely within our commitment to provide customers
with more options to reduce their environmental profile and look forward
to helping develop the capabilities to leverage biogas and natural gas
resources into a source for higher value, clean burning diesel fuel.”
Velocys, the leader in smaller-scale GTL technology, will supply the
Fischer-Tropsch reactor and catalyst to the joint venture. “With the
benefit of more than fifteen years of development, over $300 million of
investment, and the world’s largest microchannel patent portfolio,
Velocys is pleased to bring its leading position in smaller-scale GTL
technology to this partnership and the exciting opportunities being
pursued together,” said Roy Lipski, chief executive officer, Velocys.
The joint venture’s first facility is under development and will be
located at Waste Management’s East Oak site in Oklahoma. The joint
venture intends making a final decision to proceed on this first plant
this year. Engineering and design work is substantially complete, final
draft permitting documents have been submitted, and development
activities for additional facilities are expected to commence shortly.
ABOUT WASTE MANAGEMENT
Waste Management, Inc., based in Houston, Texas, is the leading provider
of comprehensive waste management services in North America. Through its
subsidiaries, the company provides collection, transfer, recycling and
resource recovery, and disposal services. It is one of the largest
residential recyclers and also a leading developer, operator and owner
of waste-to-energy and landfill gas-to-energy facilities in the United
States. The company’s customers include residential, commercial,
industrial, and municipal customers throughout North America. To learn
more information about Waste Management visit www.wm.com
or www.thinkgreen.com.
ABOUT VENTECH
Ventech Engineers International LLC is a global leader in the design and
construction of new modular refineries, gas processing systems, plant
relocations, and specialized fabrications for the chemical, refining and
gas production industries. The corporate office and fabrication complex
are located in Pasadena, Texas. Additional offices are located in
Ankara, Turkey, Moscow, Russia, and Alabang, Philippines. More
information is available at www.ventech-eng.com.
ABOUT NRG
NRG is leading a customer-driven change in the U.S. energy industry by
delivering cleaner and smarter energy choices, while building on the
strength of the nation’s largest and most diverse competitive power
portfolio. A Fortune 500 company, NRG creates value through reliable and
efficient conventional generation while driving innovation in solar and
renewable power, electric vehicle ecosystems, carbon capture technology
and customer-centric energy solutions. NRG’s retail electricity
providers – Reliant, Green Mountain Energy, Energy Plus and NRG
Residential Solutions – serve millions of residential and commercial
customers throughout the country. More information is available at www.nrgenergy.com.
ABOUT VELOCYS
Velocys (formerly Oxford Catalysts) enables modular gas-to-liquids (GTL)
plants to convert unconventional, remote and problem gas into valuable
liquid fuels. Systems based on the Company’s technology are
significantly smaller than those using conventional technology, enabling
modular plants that can be deployed cost effectively in remote locations
and on smaller fields than is possible with competing systems. Together
with world-class partners, Velocys provides complete modular GTL
solutions that address an untapped market of up to 25 million barrels of
fuel a day. Velocys plc is listed on the AIM market of the London Stock
Exchange (LSE: VLS). The Company has approx. 100 employees with
facilities in Houston, Texas, USA and near Oxford, UK and Columbus,
Ohio, USA. More information is available at www.velocys.com.
FORWARD LOOKING STATEMENT
This press release contains forward-looking statements, including but
not limited to statements regarding anticipated synergies and
contributions from the joint venture partners, effectiveness and
optimization of technology, and the development and permitting of the
first facility and additional facilities. You should view these
statements with caution. They are based on the facts and circumstances
as of the date the statements are made. These forward-looking statements
are subject to risks and uncertainties that could cause actual results
to be materially different from those set forth in such forward-looking
statements, including but not limited to, inability to obtain permits
and inability to integrate and develop the technology and facilities as
anticipated. The parties to this release assume no obligation to update
any forward-looking statement whether as a result of future events,
circumstances or developments or otherwise.
Copyright Business Wire 2014